Lesotho PAYE Calculator: Tax After the M1,020 Credit
Enter your monthly gross pay to see your PAYE under the 2026/27 Lesotho bands.
Rates checked 9 Nov 2026 against official sources (listed below).
Tax bands (a month)
- M0 – M6,48020%
- Above M6,48030%
Take-home pay (a month)
M8,668
PAYE
M1,332
Effective tax rate
13.3%
Taxable income
M10,000
| Item | LSL |
|---|---|
| Gross pay | M10,000 |
| Taxable income | M10,000 |
| Tax on bands | M2,352 |
| Personal tax credit | − M1,020 |
| − PAYE | M1,332 |
| Take-home pay | M8,668 |
2026/27 Lesotho bands and credit (Legal Notice No. 24 of 2026). Anyone earning M5,100 a month or less pays no PAYE.
The full explanation, with worked examples and what to watch for: Lesotho PAYE Tax Table: How Much Tax You Pay
About this calculator
On M10,000 a month, tax before the credit is M2,352, the M1,020 credit brings it down to M1,332, and you keep M8,668.
How it's worked out
- Your pay is taxed at 20% up to M6,480 a month and 30% above that.
- The personal tax credit of M1,020 a month comes off the tax.
- Because the credit cancels the 20% tax on the first M5,100, you pay nothing at or below M5,100 a month.
See our Lesotho PAYE tax table guide for what changed from 2025/26.
Take-home pay at common salaries
Worked out with the same bands as the calculator above, with no pension or other optional deductions.
| Monthly pay | PAYE | Take-home |
|---|---|---|
| M5,000 | M0 | M5,000 |
| M8,000 | M732 | M7,268 |
| M10,000 | M1,332 | M8,668 |
| M15,000 | M2,832 | M12,168 |
| M25,000 | M5,832 | M19,168 |
| M40,000 | M10,332 | M29,668 |
Before you rely on the result
- Check what your payslip calls taxable pay. Allowances, overtime and bonuses are usually taxed too, so use your full taxable pay, not just basic salary.
- Compare with your payslip. If your employer's PAYE is far off this figure, ask HR or payroll which bands and deductions they used. Payroll software that hasn't been updated is a common cause.
- Other deductions aren't included unless they're listed above: loans, union dues, medical aid and voluntary savings all come off separately.
Frequently asked questions
How much PAYE do I pay on M8,000 in Lesotho?
M732 a month: M1,296 at 20%, plus M456 at 30%, minus the M1,020 credit.
What is the tax credit in Lesotho for 2026/27?
M1,020 a month (M12,240 a year), up from M970 a month in 2025/26.
Is there a tax-free threshold in Lesotho?
Not formally, but the tax credit has the same effect: income of M5,100 a month or less pays no PAYE.
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